This is an April Fools Joke... Right? 

Google Gets the Message, Launches Gmail... although I wouldn't put it past them to actually do something like this. Of course after you read it you would say... well of course its a joke. If it is a joke... then what does that say about the New York Times which wrote this article in their Technology section?

Update: FoxNews is running this story almost a week later... so I'm guessing that it is in fact real... but with some caviats. You get tons of storage space, but Google will scan your emails so that it can provide ads that are targeted towards the email content, and they may keep your email even after you delete it, or even remove your account:

Google intends to deliver ads by analyzing what's being discussed. For instance, an e-mail from one friend to another talking about an upcoming trip might include links to hotels or airlines.
...
"Consumers really need to look this gift horse in the mouth because it has rotten teeth and bad breath," said Beth Givens, director of the Privacy Rights Clearinghouse, a watchdog group.

Of course the immediate reaction by some people is to try to prevent Google from launching the service because of these privacy concerns. I say that's BS. As long as they are up front about it, and people are willing to make that choice, then LET THEM MAKE A CHOICE. I personally would never use that service because of those issues, but other people may be willing to. Even though it won't be available for several months, you can signup at Gmail.com.